OTCPK:MEAOD - Post by User
Comment by
Quixoticaon Oct 15, 2010 11:47am
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Post# 17569258
RE: RE: Gold loan
RE: RE: Gold loanYes Rattle an unsecured loan is preferred but who would make such a loan? Nobody in his right mind would do so - especially in today's credit environment. The paltry capitalization of MTO can change rather quickly so the ratio may be a little steep today but less critical after the shares appreciate - so that is a relative measure easily swayed. From what I know they owe under 3 Million on the revolving loan.
The recent PP was for 50 cents - similar to flow through - but offered no warrants (at least that is a good thing). PPs will continue - I have been saying this from day one. Very, very few companies escape the issue of excessive dilution. At least it isn't even remotely comparable to the dilution of the toilet paper we call currencies.